Sprouts Farmers Market LLC (SFM)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 380,601 | 258,856 | 261,164 | 244,157 | 287,450 |
| Total stockholders’ equity | US$ in thousands | 1,321,890 | 1,148,550 | 1,046,460 | 959,876 | 881,293 |
| ROE | 28.79% | 22.54% | 24.96% | 25.44% | 32.62% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $380,601K ÷ $1,321,890K
= 28.79%
The return on equity (ROE) of Sprouts Farmers Market LLC has shown some fluctuations over the years based on the data provided. In December 31, 2020, the ROE was relatively high at 32.62%, indicating that the company generated a strong return on the equity invested by shareholders.
However, by December 31, 2021, the ROE had decreased to 25.44%, suggesting a slight decline in the company's ability to generate profits from shareholders' equity. This trend continued into December 31, 2022, with the ROE dropping further to 24.96%.
By December 31, 2023, the ROE experienced a more significant decline to 22.54%, reflecting potential challenges in the company's profitability and efficiency in utilizing shareholders' equity.
In a positive turn, by December 31, 2024, the ROE increased to 28.79%, indicating a recovery in the company's profitability and its ability to generate higher returns for shareholders compared to the previous year.
Overall, the fluctuations in Sprouts Farmers Market LLC's ROE signal changes in the company's operational efficiency, profitability, and use of shareholders' equity over the years, highlighting the importance of continuously monitoring and analyzing this metric for a comprehensive assessment of the company's financial performance.
Peer comparison
Dec 31, 2024